ITO, New Delhi V. M/s. Aggregate Finance & Investment Pvt. Ltd., New Delhi

ITA 1390/DEL/2016

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 7174 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 4 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-07-2019
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: H
• Assessment Year: 2003-2004
• Appeal Filed On: 11-03-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: NAINA SOIN KAPIL

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH D NEW DELHI BEFORE SHRI R. K. PANDA, ACCOUNTANT MEMBER AND SH. KULDIP SINGH, JUDICIAL MEMBER ITA NO.1390/DEL/2016 ASSESSMENT YEAR : 2003-04 INCOME TAX OFFICER WARD- 1 (4), NEW DELHI VS. M/S. AGGREGA TE FINANCE & INVESTMENT PVT. LTD., 1117/12, 3 RD FLOOR, NAIWALA, KAROL BAGH, NEW DELHI-110005 PAN NO.AAACA6428R (APPELLANT) (RESPONDENT) APPELLANT BY : SH. NAINA SOIN KAPIL, SR. DR. RESPONDENT BY : SH. KAPIL GOEL, ADVOCATE DATE OF HEARING : 25-07-2019 DATE OF PRONOUNCEMENT : 29-07-2019 O R D E R PER R. K. PANDA, AM : THIS APPEAL FILED BY THE REVENUE IS DIRECTED AGAINS T THE ORDER DATED 22.01.2016 OF THE CIT(A)-I, NEW DELHI RELATIN G TO A.Y.2003-04. 2. THE REVENUE IN ITS ONLY EFFECTIVE GROUND OF APPE AL HAS CHALLENGED THE ORDER OF THE CIT(A) IN DELETING THE PENALTY OF RS.62,50,000/- LEVIED BY THE ASSESSING OFFICER U/S. 271 (1) (C) OF THE IT ACT. 3. FACTS OF THE CASE, IN BRIEF, ARE THAT THE ASSESS ING OFFICER IN THE INSTANT CASE COMPLETED THE ASSESSMENT U/S.144/147 D ETERMINING THE TOTAL INCOME AT RS.1,70,04,230/-AS AGAINST THE RETU RNED INCOME OF NIL. SUBSEQUENTLY THE ASSESSING OFFICER INITIATE D PENALTY PROCEEDINGS U/S. 271 (1) (C) OF THE ACT. THE LD. CIT(A) DELETED THE PENALTY ON THE GROUND THAT THE ADDITION MADE BY THE ASSESSING OFFI CER IN THE ASSESSMENT ORDER HAS BEEN DELETED BY THE CIT(A) AND , THEREFORE, THE PENALTY DOES NOT SURVIVE. 4. AGGRIEVED WITH SUCH ORDER OF THE CIT(A), THE REV ENUE IS IN APPEAL BEFORE THE TRIBUNAL. 2 5. THE LD. COUNSEL FOR THE ASSESSEE, AT THE OUTSET, FILED A COPY OF THE ORDER OF THE TRIBUNAL AND SUBMITTED THAT THE AP PEAL FILED BY THE REVENUE AGAINST THE ADDITION DELETED BY THE CIT(A) HAS BEEN DISMISSED AND THE ORDER OF THE CIT(A) HAS BEEN UPHELD. SINCE THE QUANTUM ADDITION HAS BEEN DELETED, THEREFORE, THE PENALTY H AS NO LEGS TO STAND AND THEREFORE THE ORDER OF THE CIT(A) DELETING THE PENALTY HAS TO BE UPHELD AND THE GROUND RAISED BY THE REVENUE SHOULD BE DISMISSED. 6. THE LD. DR ON THE OTHER HAND FAIRLY CONCEDED THA T THE TRIBUNAL HAS DECIDED THE ISSUE IN FAVOUR OF THE ASSESSEE AND THE APPEAL FILED BY THE REVENUE AGAINST THE DELETION OF ADDITION BY THE CIT(A) HAS BEEN DISMISSED. 7. WE HAVE HEARD THE RIVAL ARGUMENTS MADE BY BOTH T HE SIDES AND PERUSED THE MATERIAL AVAILABLE ON RECORD. IT IS AN ADMITTED FACT THAT THE QUANTUM ADDITION MADE BY THE ASSESSING OFFICER HAS BEEN DELETED BY THE CIT(A) AND ON FURTHER APPEAL, THE TRIBUNAL H AS DISMISSED THE APPEAL FILED BY THE REVENUE. THEREFORE, WHEN THE QU ANTUM ADDITION HAS BEEN DELETED THE PENALTY DOES NOT SURVIVE. WE, THEREFORE, UPHOLD THE ORDER OF THE CIT(A) DELETING THE PENALTY SO LEV IED BY THE ASSESSING OFFICER. THE GROUND RAISED BY THE REVENUE IS ACCORD INGLY DISMISSED. 8. IN THE RESULT, THE APPEAL FILED BY THE REVENUE I S DISMISSED. ORDER PRONOUNCED IN THE OPEN COURT ON 29.07.2019. SD/- SD/- (KULDIP SINGH) (R. K. PANDA) JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 29-07-2019 *NEHA* COPY OF ORDER TO: - 1) THE APPELLANT 2) THE RESPONDENT 3) THE CIT 4) THE CIT(A) 5) THE DR, I.T.A.T., NEW DELHI //TRUE COPY// ASSISTANT REGISTRAR ITAT, NEW DELHI 3 DATE OF DICTATION 26.07.2019 DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE DICTATING MEMBER DATE ON WHICH THE TYPED DRAFT IS PLACED BEFORE THE OTHER MEMBER DATE ON WHICH THE APPROVED DRAFT COMES TO THE SR.PS/PS DATE ON WHICH THE FAIR ORDER IS PLACED BEFORE THE DICTATING MEMBER FOR PRONOUNCEMENT DATE ON WHICH THE FAIR ORDER COMES BACK TO THE SR. PS/ PS DATE ON WHICH THE FINAL ORDER IS UPLOADED ON THE WEBSITE OF ITAT DATE ON WHICH THE FILE GOES TO THE BENCH CLERK DATE ON WHICH FILE GOES TO THE HEAD CLERK. THE DATE ON WHICH FILE GOES TO THE ASSISTANT REGISTRAR FOR SIGNATURE ON THE ORDER DATE OF DISPATCH OF THE ORDER